Südzucker International Finance B. V. Südzucker AG ... - Xetra

Customer care is applied by using a specific rangeof services for matters regarding regulatory approval,processing technology and marketing. With theIsomalt product range and an optimised use ofIsomalt variants, Palatinit GmbH has stand-aloneattributes differentiating it sharply from itscompetitors. With capital expenditures in researchand development together with a further expansionof product capacity, Palatinit GmbH will be able toretain its market leadership in this product segmentin future.ORAFTI strengthens market penetrationThe business segments of the ORAFTI Group havedeveloped strongly in 2002/03 and were able tostrengthen their market penetration with functionalfood, textured consumables and specific fluidsweeteners.The "active food ingredients" division (inulin andoligofructose for human and animal nutrients) wasagain marked by strong sales growth. More than300 new foodstuffs were introduced with ORAFTIproducts RAFTILINE® and RAFTILOSE®. Markets inAsia were particularly stimulated by stressing thebeneficial pre-biotic effect of products on health.In America and Europe the topics of fibre andimproved calcium intake were grounds for success.There is growing interest in using inulin as a fatsubstitute. This trend is supported by consumer fearsabout obesity and diabetes, to which producers havereacted by introducing lower-calorie products on themarket. A further growth driver is interest infoodstuffs with low carbohydrates, for which inulinand oligofructose are ideal ingredients. ORAFTI wassubject to aggressive price competition for inulinproducts on certain markets.BENEO®, the communication program, shows furthersuccess. Many new products were introduced on themarket with the BENEO® label in Belgium and inSwitzerland.Capital expenditures were incurred to increaseproduction capacity at the Oreye works in Belgium,and possible locations for a second production plantare being analysed.The "liquid sweeteners" division profited from higherdemand for specially-designed liquid sweeteners.Both sales and profits rose despite price pressuresfrom imported fructose.Remy Industries, a part of ORAFTI, could more thanmeet its budget with its rice-based food additives.Sales of special rice-based starch and rice-based flourproducts are made worldwide. Remy was able tomeet customers’ heightened hygiene and safetyrequirements. Synergies planned with the purchaseof Remy through co-operation with ORAFTI led toconsiderable cost reductions and market benefits.Co-operation in the research and development areaalso lived up to expectations.Starch grows through innovationSüdzucker Group’s starch activities are mainly carriedout by AGRANA.The starch division performed satisfactorily in 2002/03.Despite a market-related decline in prices, revenuesrose by 12 % to D 209.9 million (D 187.5 million),mainly due to entry into new markets and a successfulupgrading strategy. Operating profits also continuedto improve. In Austria, sales volumes of corn-starchbased products increased particularly satisfactorily,with a rise of 17 %. Sales volumes divided into foodand non-food applications show an increase in thenon-food/technical starch area, although at theexpense of lower prices, of almost 27 %, whereasturnover volumes in the food area only rose slightly.F-69